SB 0806 also clarifies actions that would disqualify an employee from collecting unemployment, like voluntarily leaving work, testing positive for drugs and stealing. The billestablishes a felony for unemployment fraud exceeding $3,500. The current threshold is $25,000.

Recipients also must be "actively engaged" in seeking work to receive benefits, using reporting methods like the Unemployment Insurance Agency's (UIA) online reporting system, a written report by fax or mail or appearing in person at a Michigan Works office. The UIA also is authorized to conduct random work search audits.

Business groups like the Michigan Chamber of Commerce and Small Business Association of Michigan have touted the bill as being necessary to shore up Michigan's unemployment insurance system. Michigan's system is employer-funded and the bill contains changes that help business owners, as well.

Small businesses would be able to distribute unemployment contributions equally throughout the rate and changing contribution rates to allow employers to shed years of bad unemployment quicker.The bill also grants amnesty to allow employers to determine whether a worker is an employee or independent contractor.

Susan J. Demas is a contributing political columnist who provides opinion and analysis and reports breaking news on local and national issues from a Michigan perspective.